TORM reported its best quarter ever, with second-quarter TCE earnings of $512 million, more than double the $208 million from a year earlier, and net profit hitting a record $338 million, driven by chaos around the Strait of Hormuz that rerouted tankers and boosted day rates. EBITDA jumped to $416 million from $127 million, and earnings per share rose to $3.31 from $0.60, with management raising full-year TCE guidance to $1.4 billion to $1.6 billion and EBITDA guidance to $1.0 billion to $1.2 billion. The board approved a $2.40 per share dividend, a $246 million payout, continuing a run that has returned $16.10 per share, or $1.5 billion, since 2023. However, CEO Jacob Meldgaard warned that the gains are fragile, as oil flows had recovered from roughly 17% below pre-conflict levels in April and May to about 10% below by July, before renewed hostilities disrupted trade again. The company also noted that roughly 70 LR2 vessels have shifted from clean products into crude, cutting effective clean product capacity by about 5%, while a quarter of the combined LR2 and Aframax fleet is under sanctions, but the tide can turn just as fast with a ceasefire.
Torm PLC Class ARecord quarter driven by Strait of Hormuz disruption boosting tanker rates.
Chevron Corp